The Importance of No Negative Rollover in Bookmaker Affiliate Programs
All the big online bookmakers operate affiliate programs. The active affiliate can utilize these to generate extra income streams which are generally based on a commission share basis. A very attractive feature of some is a no negative rollover policy meaning that the affiliate does not lose out should their referred players win more than they lose thus putting the affiliate in position whereby they can't get paid until they are back in the black as far as commission is concerned.
By using an affiliate program with a no negative rollover in place the affiliate is basically in a no lose situation. Let's take a look at how that works.
Negative rollover pertains to a negative commission balance right at the start of any given month. This has been carried over from the earnings in the past months. One of the main reasons why negative rollover occurs is that players from an affiliate program generate negative revenue. So for example let's say the betting affiliate program has a 40% commission share and over a given month the players you have referred enjoy a net overall profit of $100. That puts you on a commission balance of -$40 at the end of the month. You don't have to pay that back to the affiliate program operator, instead it's carried forward and you start the next month on -$40 and have to wait until your referred players lose enough to get you back in to a positive situation.
Continuing the example, the following month the players you have referred collectively drop $200 then you have generated $80 in commissions for yourself. Take off the -$40 carried forward from the previous month and your overall balance is now $40 which may, depending on the terms and conditions of the affiliate program, be enough to trigger a payment of commission to you if you have hit the minimum amount.
However if a no negative rollover policy was in effect then the -$40 in the first month would not have been carried forward. It would have been reset to zero and you would start the following month with a clean slate. Then the $80 commission generated in the following month would have been all yours instead of having $40 taken off to cover the loss from the previous month.
For the traditional commission share basis all it takes is for you to refer a couple of big hitters and regular winners for your commissions t be destroyed and you may never cover enough from losing players to make up the difference and put yourself in a position to be paid.
But if you select a bookmaker, casino or poker room affiliate program which has a no negative rollover in place then you cannot be hurt by any referrals you make who win big or regularly because even if you may not they do, any minus commission balance you have at the end of the month is wiped away as per the above example.
The active affiliate can generate regular commissions as the commission share percentages are often very generous with bookmakers, casinos and poker rooms. Do your research and look at those affiliate programs operated by the major brands and feature the no negative rollover feature. As you can see from the examples in this article, it can make a big positive difference to the commission payments you will receive